Toyota (NYSE: TM) has been trading above its 50-day moving average since early November, but in a sideways channel. The weekly chart shows a breakout movement from late October that’s still in place. However, it’s the monthly chart that goes back to 2009, when the industry unraveled, that tells the overall story.
For certain we will see the continuation of technical innovations like Ford’s EcoBoost engines that have the power of a V8 in a 6 cylinder, but the gas mileage of a 4 cylinder. Moreover, we will continue to see the mainstream deliveries of a plethora of plug-in hybrid vehicles, like Chevy Volts, Nissan Leafs and Fisker Karmas. Even the Toyota Prius will follow suit with its own version of a plug-in.